Online Casino Gambling

Experts in the commercial casino industry have called for officials to supersede their planned proposals for online gambling regulation, instead putting in place legislation to allow each individual U.S state to make licensing decisions. This would allow each state to decide whether or not to allow online gambling, and would require each online casino to have a specific license for online operations.

Online Gambling Trouble

Part of the reason why there is so much indecision and caution over the online poker sector, which is worth an estimated $6 billion, is due to unscrupulous practices noted by previous casinos. Earlier this year Full Tilt Poker, Absolute Poker and PokerStars, three of the largest online establishments, were embroiled in money laundering and fraud charges which caused them to be shut down and gamblers lose out on a considerable amount of money. It is said that companies tricked financial institutions into billions of dollars of transactions; a direct violation of laws created in 2006 to prevent banks from becoming involved in profit from online gambling funds.

New Bills for 2011

However, the American Gaming Association’s chief executive, Frank Fahrenkopf, said that he expected a new bill to be introduced by the close of 2011. Fahrenkopf explained that the industry was closer to federal legislation than ever before, with officials knowing that a decision had to be made. If poker establishments are unregulated, billions of dollars will go untaxed he said, adding that Americans had to use foreign poker sites to continue their passions, leaving them vulnerable.

American Gaming Association’s Position

Whilst Fahrenkopf revealed that there needed to be regulation in the industry, he remained quiet on the current bills, preferring to stay neutral. The association has warmed to the growing push for online gambling, though venues remain at opposite ends of the scale over whether consumers should be allowed to play poker from home on digital devices. Meanwhile, Fahrenkopf also revealed that though a number of proposals had already been submitted, they lacked the elements that the casino industry was looking for and broke away from the current state framework that many were calling for.

As much of the United States prepares to undergo reform over online poker laws, Washington DC is set to push new bills through as officials start public consultation on the law changes. In this initial phase the eight city wards will all be involved, with members of the public having the chance to provide feedback on proposed laws and mechanics for implementing the online poker sector.

Washington Times Feedback

With a large amount of debate still being seen over the issue of online poker, the Washington Times conducted a poll online on public opinion. Whilst 14per cent of those questioned believed that the legalization should not be allowed and 1per cent were undecided, an overwhelming 85per cent of people gave approval to the reform. One respondent in particular voiced views that the online poker industry was allowed in many nations across the world, with the US being the ‘land of the free’ where gambling should be allowed in an online format.

Final Report for Committee of Finance and Revenue

The outcome of the public consultation will not be heard until an official report is offered to Washington DC’s committee of Finance and Revenue. Chief opponent of online poker legislation and committee chairman, Jack Evans, will then give the report further consideration before revealing the outcome.

Strong Opposition Noted

Whilst Mr Evans has been outspoken of his views regarding the legalization of online poker, two Democrat councilors have already made bill introductions to try and stop legislation going through. Phil Mendelson and Tommy Wells have made an attempt to repeal legal areas which would authorize online gambling, with Wells adding that his bill would make the pros and cons of the industry more transparent for both officials and public, offering clear indications of the sector before bills were passed.

Councilor Defends Plans

However, as much as there is strong opposition for the legalization of online poker in Washington DC, there is also much defense. Michael A Brown revealed that though opposition was loud, it wasn’t being noted in large numbers. And with his views that legalization will stop illegal offshore venues and help regulate the industry, there is a strong argument for the online poker industry.

With online poker legislation gaining steam as an increasing number of officials urge for the gambling niche to be allowed, it has been revealed that in Massachusetts an amendment to an online poker bill has been passed. Whilst a long road still lays ahead for the legalization of online poker, the fact that changes are being made is being welcomed by many.

Massachusetts Law

Whilst deemed to be insignificant in the overall terms of online poker amendments, the change was voted into the bill by 123 votes, with only 32 votes against. The Massachusetts Senate will vote next on September 26^th, debating the legislation and ironing out any problematic discrepancies that may exist between bills passed in the Senate and in the House. After propositions have been made and a final draft drawn up, it will be up to Governor Deval Patrick to legalize the bill.

Online Poker Law for Massachusetts

Online poker legislation in the state of Massachusetts will require the official gaming commission to develop a specialized committee to oversee online poker establishments. Individuals will be responsible for creating and analyzing recommendations and models for online poker legislation, with a report due by the close of July 2012. If a positive recommendation is received, online poker can look forward to a prosperous future. However, with new proposals and legalization required after this initial report, Massachusetts may not gain live online poker until late 2013.

Federal Regulation for Online Poker Renewed

Outside of Massachusetts is has been revealed that there have been renewed calls for online poker to be regulated at a federal level. US Attorney Preet Bharara revealed that Full Tilt Poker, one of the operations closed down earlier this year, had been running an international Ponzi scheme estimated to be worth $300m. However, despite federal permission, players have not received their deposits back, even though Bharara stated that over 20 shareholders and owners gained up to $443m profit.

Challenge for Online Poker Industry

The state of online poker remains inconsistent, and whilst amendments are made to bring about the legalization of the industry, the path is long and drawn out. And whilst officials spend time developing and drawing up bills, the challenge for gambling companies will be to keep the prospect of online poker alive.

It has been revealed that there is rising optimism in America that online poker will get the go ahead before the end of the year. With a number of key officials backing new regulations to be passed through Congress, online gamblers in the United States could soon be enjoying one of the most popular games in the world from the comfort of their own homes.

Rising Support from Influential Players

There is currently a strong movement in the U.S to push through regulations which will allow online poker operations to begin. With a number of influential officials backing plans to develop a new bill, citizens could be enjoying the game online before the end of 2011. Speaker of the House John Boehner, Senator Majority Leader Harry Reid and Senator Jon Kyl have all revealed their support to legalize online gambling operations, helping the industry have increased optimism that the poker bill could be passed.

Industry Support

In addition to the positive affirmations made by politicians, a number of key industry figures have also revealed a changing disposition towards the matter. Many influential characters had been against the legalization of online poker due to the increased competition that the sector would create. However, the publisher of Global Gaming Business, Roger Gross, said that Sheldon Adelson, chief executive of Vegas Sands, had now said that he was willing to go along with changes for regulating online poker which were made at a federal level. Meanwhile, there are ongoing reports that major U.S casino companies such as Caesars Entertainment have already made moves to secure software providers so that, should the bill be passed, online poker can be made as quickly as possible.

Increased Revenue a Popular View

One of the major factors behind the changing view point on online poker legalization is the increased revenue that operations would provide. Officials at both state and federal levels have revealed that increasing income whilst not having to raise taxes was a huge motivator for passing the bill. And whilst it has been mentioned by some that this could lead to a high level of gambling problems noted across the U.S, those awaiting a decision could see online poker legalized in the next few months.

Over the past several weeks, there has been a variety of news items from countries around Europe with regards to gambling. Although not all topics have been related to online gambling, any gaming laws passed as sure to be followed by avid online gamblers.

German Online Gambling News

The German province of Schleswig-Holstein recently broke away from the other provinces with regards to the legalization of online gambling. The province developed a liberalized proposal that was approved by the European Commission and from industry-leading online gambling operators. However, the joint proposal form the remaining 15 states was rejected by the European Commission as a violation of European Union laws.

The Schleswig-Holstein province was able to pass the proposal which made the entire industry excited for the new law. Currently, online gambling operators are anxiously awaiting the regulatory framework established by the province. Recently, the German Press Agency released a newsworthy item that Schleswig-Holstein decided to hold additional discussion with the other provinces regarding the state Gambling Treaty until at least September 2011.

This has come as a major surprise because of the variance between the two proposals. Schleswig-Holstein proposed unlimited licenses and a 20 percent tax on all gross profits. However, the proposal from the other states called for the approval of only seven licenses and a 16.66 percent tax. The German State Gambling Treaty is scheduled to expire on January 1^st, 2012.

Spanish Online Gambling News

In Spain, the government is fully committed to the legalization then regulation of online gambling. A recent study conducted by Casinoenlinea.es uncovered that the benefits of the activity to Spain are much more than originally expected. Spanish regulation of online gambling will lead to tax and license revenues equating to approximately 137.5 million Euros in 2012. Also, this is expected to bring up to 120,000 new jobs due to the number of currently active players.

United Kingdom Gambling News

The latest from the U.K. pertains to a proposed amendment to the UK Gambling Act of 2005 as announced by the Department for Culture, Media and Sport. Unfortunately the Gambling Commission is only currently sharing information with sports governing bodies. The amendment is attempting to include the International Olympic Committee and other sports bodies to share information on suspicious betting activity.

Europe has been a leader in online gambling regulations for several years. Therefore, when different countries talk, the gaming community listens. It appears as if all three countries are on the right track to implementation and keeping their citizens safe from moving to unregulated sites.

The online gambling proposal announced for the City of Washington, D.C. continues to face setbacks. First, the implementation of the proposal was deferred until a process of public consultation was conducted. Second, the consultation was deferred. Now there are allegations that a contract awarded by the D.C. Lottery was not completely legitimate. This newly uncovered information is expected to have an indirect effect on the online gambling proposal.

Discussion of the Investigation

A Washington Post columnist has been discussing at investigation being conducted by a Washington D.C. inspector into a $38 million contract being awarded to Intralot by the D.C. Lottery. The investigation began in July 2010 by the former Attorney General. The reporter links the contract to the secrecy surrounding the online gambling bill approval. He further states that it is clear that this entire operation is all about the money.

Procurement Laws

Originally, the Procurement Laws called for the contract to be given to a certified local, small and disadvantaged business. Unfortunately, it would be impossible to find a business that has the capabilities to operate an entire lottery system. Therefore, the small local company had to partner with a larger expert who would maintain all operational matters. Therefore, these dealings occurred in a secretive manner.

The article describes that the D.C. Lottery originally awarded the contract to Greek gambling company Intralot in December 2009. However, in July 2010, a representative from Ward 8 discussed in an interview that he told Intralot that the council would approve the contract only if the Greek company found a local partner. Therefore, they hired Veterans Services Corporation who received a majority stake in the $38 million contract.

Another Scandal

The connection to the online gambling proposal in Washington is as follows. The primary developer of the bill was an independent councilor who did not disclose he was employed by a specific legal firm. Therefore, many of the clients he represented while in the firm will greatly benefit from the legalization of online gambling in Washington, D.C. Therefore, it is likely this major conflict of interest will rise once again.

In an effort to create a regulatory system, the involved parties are clearly involved in scandal after scandal. This unacceptable behavior reflects poorly on the online gambling industry. Hopefully those involved in this misdealing’s will be removed for individuals who are ethically able to get the job done.